ILOILO CITY – A former councilor during the Mabilog administration is questioning the “timing” of the proposed renegotiation of the joint venture agreement (JVA) for the Iloilo Ferry Terminal at Parola Wharf.
The agreement, signed in 2012 by former Iloilo City Mayor Jed Patrick Mabilog on behalf of the Iloilo City Government and Ferdinand Sia, representing Double Dragon Properties Corporation (DDPC) and the corporation managing Parola, is now under scrutiny.
In an interview with Bombo Radyo, former Iloilo City Councilor Atty. R. Leone Gerochi, who was the former Chairman of the Committee on Transportation, stated that when the terminal was established, Mabilog was the sitting mayor.
In 2012, Iloilo City Mayor Jerry Treñas was serving as the representative of the city’s lone district.
Gerochi explained that during that time, Mabilog and Treñas were still allies in the same political party, and the agreement was not questioned.
However, now that their political partnership has dissolved, the joint venture agreement has suddenly been revisited.
The former councilor emphasized that there is a political angle in revisiting some provisions of the contract, which are reportedly unfavorable to the city.
It is known that the Iloilo City Council has approved a resolution granting the City Legal Office the authority to lead the renegotiation with DDPC.
Iloilo City Mayor Jerry Treñas has also expressed his support for the renegotiation, pointing out that the contract should benefit the city.
One of the key concerns in this issue is the city’s revenue share from the terminal, which stands at only one percent of the gross terminal income, or P200,868 annually, over a period of 25 years.
The city is also at a disadvantage, as it owns the 10,687-square-meter land on which the terminal stands.
The value of the city’s land has risen from P51.65 million in 2012 to P183.35 million in 2024, while the commercial building built on the terminal is valued at P105.66 million.
The city has also criticized the implementation of the agreement, citing a lack of transparency, such as the exclusion of plans for commercial buildings in the corporation’s proposal and the absence of a master development plan, which is a requirement under the joint venture agreement.
It was also discovered that the corporation has not submitted the required annual reports on the project’s operations.
In defense, Mabilog stated that the 2012 joint venture agreement benefited the city at that time, as Iloilo was not yet considered a “booming economic hub.”
The former mayor clarified that the city did not spend a single centavo or take out loans for the project.
